- Jacobs Engineering Group Inc (NYSE:J) reported first-quarter revenue was flat year-over-year at $3.38 billion, missing the consensus of $3.51 billion.
- Adjusted net revenue increased by 6.4% Y/Y to $2.91 billion.
- Revenues by segments: Critical Mission Solutions $1.16 billion (-10.3% Y/Y), People & Places Solutions $1.93 billion (-7.6% Y/Y) and PA Consulting $289.97 million.
- Adjusted EPS improved to $1.56 from $1.41 last year, missing the consensus of $1.58.
- At the end of the quarter, the company's backlog increased by 12% Y/Y to $28 billion. Q1 revenue book-to-bill was 1.4x.
- The gross margin expanded by 490 bps to 23.6%.
- Adjusted EBITDA was $310 million (+11% Y/Y) and margin of 10.7%, up 40 bps.
- The operating profit declined by 17.1% Y/Y to $177.33 million, and the margin contracted by 108 bps to 5.2%. The adjusted profit margin was 10.6% compared to 9.5% a year ago.
- Jacobs Engineering generated cash from operating activities in Q1 of $321.65 million, compared to $112.62 million a year ago.
- At the end of the quarter, the company has cash and equivalents of $1.2 billion and net debt of $1.9 billion.
- FY22 Outlook: Jacobs Engineering continues to expect adjusted EBITDA of $1.37 billion - $1.45 billion and adjusted EPS of $6.85 - $7.45 versus the consensus of $7.17.
- Price Action: J shares closed higher by 0.31% at $128.06 on Monday.
